Artemis Solutions Group (ASG) Files Lawsuit Against Tacoma-Based Sagem Morpho, Inc., (Sagem) a Wholly-Owned Subsidiary of French Conglomerate SAFRAN Group.

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Artemis Solutions Group (ASG), http://www.artemis-usa.com a global leader in consumer and small business smart card and biometric security solutions announced today that it has filed a lawsuit in United States District Court – Western District of Washington at Seattle against Tacoma based Sagem Morpho, Inc., (Sagem) a wholly owned subsidiary of French conglomerate SAFRAN group alleging willful and deliberate trademark/trade name infringement and unfair competition with regard to its registered trademark BioCert®.

Artemis Solutions Group (ASG), http://www.artemis-usa.com a global leader in consumer and small business smart card and biometric security solutions announced today that it has filed a lawsuit in United States District Court – Western District of Washington at Seattle (Civil Action C06-0060) against Tacoma-based Sagem Morpho, Inc., (Sagem) a wholly-owned subsidiary of French conglomerate SAFRAN group alleging willful and deliberate trademark/trade name infringement and unfair competition with regard to its registered trademark BioCert®.

ASG has been using its trademark BioCert® in connection with its biometric security solutions products since 2002. On February 24, 2004, ASG was granted a federal registration for its mark BioCert® by the United States Patent and Trademark Office (http://www.uspto.gov).

ASG has an ongoing OEM agreement with Memory Experts International (MEI) (http://www.canram.com) to provide its Odyssey ClipBio hardware under the BioCert® name. The BioCert® Odyssey ClipBio incorporates a secure fingerprint scanner that is a capacitive fingerprint sensor embedded into the USB key and provides secure storage of data within an encrypted partition on the key, and with the BioCert® BIIM provides secure login to a PC, authentication to a network, PKI functionality and other cryptographic capabilities to secure data, network and local drives or to access to the PC.

As early as February 2004, ASG Executives engaged in confidential business discussions with at least one high level employee within Sagem’s biometric group headquartered in Tacoma, Washington through direct face-to-face discussions in Seattle, in Hong Kong at the offices of ASG’s affiliated company IBSL and through the use of emails sent to and from Sagem’s own email servers regarding ASG’s BioCert® Odyssey ClipBio and related products.

“On numerous occasions I personally showed or discussed with a high level employee of Sagem’s Biometric Division our BioCert Odyssey ClipBio (http://www.clipbio.com) and the bundled BioCert Intelligent Identity Manager (BIIM) (http://www.mybiocert.com) on my laptop and on the laptop of another executive within our company at documented meetings at our offices in Hong Kong and in Seattle,” states James Childers – CEO of ASG and Executive Director of IBSL, ASG’s Hong Kong affiliate.

Sagem is widely renowned as the world leader in secure optical fingerprint sensors and has among the worlds largest installed base of highly reliable optical fingerprint sensors. Their optical sensor products are used by Governments, Airport Authorities, and other agencies for border control, maritime security, aviation security as well as many well-known International Companies to protect access to data and facilities on a global scale.

Childers further stated “The same exact hardware product - now incorporating a capacitive sensor -, Sagem’s “Xelios™ Secure Bio Drive USB Key” (http://www.xelios.com/secure-bio-drive.html) with a remarkably similar software suite, Sagem’s Xelios PC Login Pro Suite 5 (http://www.xelios.com/) that includes as one of its core technologies “…assure the protection (of your digital certificate and data) by use of a fingerprint.”, an infringing adaptation of our registered BioCert® trade name – “X-BioCert” is now is being sold by our competitor Sagem around the world and now offered for sale here in the USA.

We could not stand by while our intellectual property is misappropriated to such a large scale and to such an egregious extent.”

ASG, believing that Sagem’s actions have caused a substantial likelihood of confusion as to the source of Sagem’s technology and caused irreparable damage to ASG through the misappropriation of their valuable intellectual property is seeking immediate relief from the Court to bar Sagem from further advertising, sale or distribution of the product bearing the infringing trademark, and a permanent injunction against Sagem from offering for sale, advertising, selling or distributing or claiming a trademark similar to the BioCert® trademark owned by ASG. ASG has also asked the court to set the amount of damages to be awarded ASG, attorneys’ fees and other actions to be taken by and against Sagem to prevent further damage to ASG’s trademark BioCert®, its reputation or its customers.

In June 2005 ASG brought a similar trademark infringement lawsuit against Microsoft Corporation. In August 2005, ASG and Microsoft successfully settled said lawsuit regarding alleged infringement of the same BioCert® trademark. Microsoft affirmed ASG’s right to the trademark BioCert® and the companies were able to amicably reach a settlement. While the terms of the Microsoft settlement are confidential, the lawsuit and the mutual agreement to the settlement of the case are public domain and freely available from Microsoft’s own website and other media outlets.

About Artemis Solutions Group

ASG (http://www.artemis-usa.com) is a closely held, private security firm specializing in fingerprint biometric and smart card security solutions. With offices in the US, EU, Canada, Mexico and Hong Kong, ASG sells directly and through its global network of resellers and system integrators best of breed biometric and smart card security systems to small & medium business and local government agencies throughout the world. ASG’s related company Intelligent Biometric Solutions Limited HK (http://www.biometriq.com) is tasked with design, local supplier relations in Asia, manufacture and OEM manufacturing oversight and global sourcing, distribution and logistics of its solutions.

ASG markets a range of computer, software and consumer products under its properly registered and owned trademark BioCert® through a network of domestic and international resellers and extensively on the Internet at the following websites:

http://www.biocert.com
http://www.mybiocert.com
http://www.biocert.us
http://www.artemis-usa.com
http://www.biometricsdirect.com
http://www.fingerlock.net
http://www.biometricdoorlock.com
http://www.clipbio.com
http://www.iqbio.com

About Sagem Morpho, Inc. & SAFRAN – From http://www.morpho.com
Sagem Morpho, the industry leader in multi-biometric solutions, develops, manufactures, and integrates multiple biometric technologies that includes fingerprint, iris and facial recognition products and services. Sagem Morpho applies more than twenty years of global experience in biometric identification technology to deliver trusted and reliable biometric products that address markets including law enforcement, Federal Government, Homeland Security, driver’s licenses, civil identification, applicant background checks as well as consumer and commercial products. Sagem Morpho is a wholly owned subsidiary of the European firm Sagem Défense Sécurité, a branch of the SAFRAN Group.

The SAFRAN group is an international high-technology group with four core businesses: aerospace propulsion, defense and security, aerospace equipment and communications. SAFRAN has 56,000 employees in over 30 countries, and annual revenues exceeding 10 billion euros. The SAFRAN group comprises a number of companies with prestigious brand names, and holds, alone or in partnership, global or European leadership positions in all of its markets.

ASG will be represented in this matter by the law firm of HALLISKY & PHILIPP.

About Hallisky & Philipp – http://www.hallisky.com
Hallisky & Philipp (H&P) is a technology and entertainment boutique law firm founded in 2003. Unlike conventional boutique law firms who focus on a narrow set of legal specialties, H&P concentrates on the specific legal needs of technology and creative clients. Located in Seattle, Washington, H&P’s intellectual property, business and litigation lawyers represent sole proprietors, start-ups, small and medium-sized businesses and large multinational corporations throughout Washington and beyond.

“Xelios” and/or other Sagem Morpho, Inc. products referenced herein are either trademarks or registered trademarks of Sagem Morpho, Inc. Microsoft is a trademark of the Microsoft Corporation. Other product and company names mentioned herein may be the trademarks of their respective owners. No statement of claim to any of these marks not specifically claimed or owned by ASG or its affiliated companies is made by Artemis Solutions Group (ASG).

Press contacts should be directed to:

Artemis Solutions Group

Celeste Grunnam

Executive Administrator & Press Contact

PO Box 403 Freeland, WA 98249

800-519-8800

Press Relations

Hallisky & Phillipp

1725 Westlake Avenue N.

Suite 150

Seattle, WA 98109

206.217.2200

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